Home loans wanted 'to avoid paying rent'

Home loans are in high demand among Aussies who no longer want to have to deal with rising rental costs, a recent survey suggests.

More than half (51 per cent) of those polled in a study by Mortgage Choice said they thought the increase in rental prices was one of the leading factors in making home ownership an attractive prospect.

The survey found that 67 per cent of those hoping to get a foot on the property ladder believe purchasing a home is essential.

According to spokesperson for the firm Kristy Sheppard: "Bricks and mortar is still an attractive investment option for a diverse range of Australians."

She added that the drop in rental vacancy rates was also encouraging more Aussies to consider purchasing property.

This comes after a study by Loan Market revealed that there has been an increase in people choosing variable home loans over fixed-rate options, the Australian Associated Press reported.

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